Club Med resorts operator Fosun Tourism Group is re-evaluating its proposed acquisition of a controlling stake in British travel services company Thomas Cook Group PLC as the process "involves much difficulty," the Nikkei Asian Review reported Aug. 19, citing Fosun Chairman and CEO Qian Jiannong's statement at a postearnings news conference.
"Various sides have got their own priorities. We are intensively listening and negotiating with various parties," Qian reportedly said.
In July, the Fosun International Ltd.-owned company agreed to invest in Thomas Cook after the latter approached Fosun with a recapitalization proposal that would restructure Thomas Cook's tour and airline businesses.
Meanwhile, the CEO does not see the impending Brexit as a factor that could impact the negotiation process, the Nikkei said.
Thomas Cook's stock jumped as much as 21.29% to 940 pence, while Fosun Tourism's shares also rose as high as 4.88% to HK$8.38 on Aug. 19.
